ETH/USD is trading around $2,378, below the downtrend channel that has formed since early October and below the 21-period simple moving average (SMA), under downward pressure. With this in mind, we believe it could continue to fall in the coming hours until it reaches $2,350.
On the H4 chart, we can see that Ether has formed a bullish channel since the October 14 low. This slight pullback, which began during the European session, could be considered a buying opportunity with targets around the psychological level of $2,500.
If, in the coming hours, Ether consolidates above the Murray 7/8 level, around 2,343, this could be considered a buying opportunity with targets at the 200-period exponential moving average (EMA), around 2,513.
On the other hand, if Ether breaks above the 21-period simple moving average (SMA) at $2,400 and decisively breaks out of the downtrend channel formed since October 12, this could also be considered a buying opportunity.
A sharp drop below $2,343 could change the outlook, and we could see a downward move toward the Murray 6/8 level, around $2,200; if it falls below this zone, it could even approach the psychological level of $2,000.
Our outlook for the next few hours is to buy Ether above $2,378 or $2,350, with a stop-loss that could be set below the October 18 low and targets at the psychological level of $2,500.